Pankaj Baliga, VP and Head, Global Corporate Sustainability, TCS

10 February 2009 TCS Public

The Monitoring & Evaluation ImperativeTCS Case Study

10 February 2009 22

Tata Consultancy Services - Overview

› TCS was established in 1968

› FY 2008 revenue of USD 5.7

billion ( up from USD 4.3 billion in

FY 2007)

› Over 1,26,613* employees

› 1st Company in the world to be

assessed at Level 5 for integrated

enterprise-wide CMMI and PCMM

› Global presence - 143 offices in

43 countries

› First and Largest

› Software R&D centre in India

› Software exporter in India

TCS Revenues in US$ Millions

$0

$1,000

$2,000

$3,000

$4,000

$5,000

$6,000

’98 ’99 ’00 ’01 ’02 ’03 ’04 ’05 ’06 ’07 '08

* All Figures as of March 31, 2008

As on 31st Dec 2008

* Excluding Subsidiaries, 1,30,343 Associates inclusive of subsidiaries, Excluding 12,459 TCS e-Serve employees

10 February 2009 3

Corporate Sustainability at TCS

TCS Policy on Corporate Sustainability

TCS believes that Corporate Sustainability in the Marketplace, Workplace, Community and

Environment is central to its business.

The focus of CS in TCS is on Education, Health and Environment.

TCS focuses on deploying its IT core competence to address large scale societal problems.

Employee Volunteering is encouraged through Maitree.

“Corporate Sustainability (CS) is integral to value-creation in our businesses through the enhancement of

human, natural and social capital complementing their financial growth in order to give the enterprise an

enduring future and also help create and serve a larger purpose, at all times. It facilitates accountability to

all stakeholders as a systemic practice”

TATA Council for Community Initiatives, (TCCI)

10 February 2009 4

Structure of VKPBenefits

•Easy to search for information

•Information upload and download is much more automatic

•Only information of interest to the VKC/VRC needs to be transmitted

•Fully Indian language compatible – (open sourced and given free of cost)

•Ability to import existing content when system is installed

Village Knowledge Portal

Content creation, storage & retrieval

Use of IT core competence to address large scale societal problems

mKrishi :

Mobile Agro Advisory System

•Redefining the cell phone: from a mere voice device to a multi-function system

•Uses BREW applications on CMDA phones to provide vital information for farmers on issues like :

•Micro region weather information and advice.

•Advice on fertilizer and pesticide usage

•Market information

10 February 2009 5

Actioning Corporate Sustainability in TCS

CS Policy

Approach Paper

• Strategic Perspective

• Implementation of CS Projects

– Based on Local Community needs, predominantly

through Maitree with TCS volunteers

– Use of IT Core competence to address

large scale societal problems

• Special CS Projects through external agencies

• Measurement & Control

Process Handbook

• Criteria for Selection of Projects

• Format for Reporting of Progress

Reporting Templates & Dashboard

• Baseline vs Incremental Impact

• Budgets

Typical Criteria

Nearness to our location

Financial need of the organization/NGO

Alignment to TCS CS theme

Number of years we need to monitor/commit

Buy in of the beneficiary/relationship of the

community

Legal Bindings

Needs of the community

Aid Needed

Enlist the goals that you wish to achieve through

this project

Back ground of beneficiaries

Impact Analysis

Results

Snippet of Process Handbook

10 February 2009 6

Evolution of CS perspective in TCS

10 February 2009 7

Tata Council

for Community

Initiatives

TCS Vision,

Mission &

Values

Apex

Global Head CS &

TCS Maitree volunteers

TCS CS Policy &

FrameworkChosen Communities

Academia

Suppliers

Local Community

Society

Employees

Evaluate based on policy

& criteria matrix

Conduct activities

•Academic Interface programme

•Volunteering

•TCS Maitree

•TBEM Feedback

•Core Competency based intervention

(R&D Cluster)

Communicate

Global CS Calls

CS Week

Synergy Meetings

Volunteers Meet

Report progress to the

Board & Community

Analyse Review & Improve

Measures & Feedback

No of volunteers

Impact

TBEM Feedback

TQMS Survey on CS

TCCI Inputs

TCS

Corporate

Stratedy

Identify

1. Community Needs

based on requests for

support

2. Proactive needs

identified based on our

competence

Corporate Sustainability in TCS : Process

10 February 2009 8

Country Branch

DC Location

TCS Project

CS Classification Name of CS Project

CS Project Type Brief description of project

Whether Baseline survey done Date of Commencement(DD/MM/YYYY)

No of TCS volunteers No of volunteer hours during the period

Ref by Client Orgn Partnering with NGO/ Special agency

Proximity Distant < 1km

Distance > 1km

Budget approval Spend during the period

Total spend to date Approximate Completion Date(DD/MM/YYYY)

Ongoing project Feedback/Comments from target group

Education Health Employability

Computers Software Manpower

Parameters of Incremental progres

TCS resources deployed(To be filled only for Core Competence Projects) Clearance from CS R&D Cluster

along with budget

To reset the data to blank

To shift the data to main worksheet and then blank out the data entry

CS Tracker

10 February 2009 9

Internal Assessment &

Benchmarking

10 February 2009 10

Tata Business Excellence Model (TBEM)

An Annual Inter company Tata Group Assessment of Business Excellence

based on Malcolm Baldridge National Quality Awd (US) & European Forum for Quality Management

1. HOW do you prevent any adverse impacts on society of your products,

services, and operations?

2. HOW do you anticipate public concerns with current and future products,

services, and operations?

3. HOW do you prepare for these concerns in a proactive manner, including using

resource-sustaining PROCESSES, as appropriate?

4. What are your KEY compliance PROCESSES, MEASURES, and GOALS for

achieving and surpassing regulatory and legal requirements, as appropriate?

5. What are your KEY PROCESSES, MEASURES, and GOALS for addressing

risks associated with your products, services, and operations?

Typical questions for External Assessment of CSR strategies

10 February 2009 11

Tata Business Excellence Model (TBEM)

An Annual Inter company Tata Group Assessment of Business Excellence

based on Malcolm Baldridge National Quality Awd (US) & European Forum for Quality Management

1. How does your organisation actively support and strengthen your KEY

communities?

2. HOW do you identify KEY communities and determine areas of emphasis for

organisational involvement and support ?

3. What are your KEY communities ?

4. How do your SENIOR LEADERS in concert with your WORKFORCE

contribute to improving these communities ?

Typical questions for External Assessment of Community Initiatives

10 February 2009 12

Metrics for TBEM process in CS

10 February 2009 13

Benchmarking within the Tata Group

10 February 2009 14

Opportunities for improvement in Corporate Governance & CSR

10 February 2009 15

QUEST FOR BUSINESS EXCELLENCE

Above left : 2004 TCS receives JRD QV Award

Above right : 2006 TCS receives CII EXIM

Award

Right : 2008 TCS at Industry Leader Position in

TBEM process

10 February 2009 16

Participation in External

CS Reporting and

Assessment

10 February 2009 17

Tata Protocol for assessment of CSR

10 February 2009 18

Corporate Responsibility Index 2007 score

91.0%

2007 band

Gold

Environment Index

Community Index

Workplace Index

90%

97%

95%

Gold

Platinum

Platinum

Recognition from BITC’s

Corporate Responsibility Index

2005 Score 65%

2006 Score 86%

2007 Score 91%

10 February 2009 19

TCS Corporate Sustainability Report

Based on Guidelines of Global Reporting Initiative (GRI 3)

10 February 2009 20TCS one of only two Indian companies in Dow Jones Sustainabiity World Index Sept 2008

10 February 2009 21

• TCS included in Dow Jones Sustainability World Index,

Sept 2008 as one of only two Indian companies

• mKrishi awarded Wall Street Journal Technology Innovation Award

in Wireless Category Oct 2008

• NREGS software & Govt of AP won 2008 Stockholm Challenge

Award

• TCS in Standard & Poor’s ESG Index for India Jan 2008

• Golden Peacock Environment Mgmt System Award- 2008

• EMPI Indian Express Innovation Award Gold Trophy for TCS Literacy

Programme

• Golden Peacock Global Award 2007 for Corporate Social

Responsibility

• Dr. Malcolm Adiseshia Award from Tamilnadu Board of Continuing

Education and State Resource Center

• Listed in India Segment of UNESCO Metasurvey on the use of

technologies in education

• Sole nomination from India in the category of Education at Stockholm

Challenge Awards (900 entries)

• Short listed at UN World Summit

• Asian Forum for CSR (AIM Manila)

Awards & Recognition

Thank you

www.tcs.com

2210 February 2009